Topic: Is copy trading a viable option for newcomers? - page 6. (Read 829 times)

Beginners just want a fast way to profit from trading so they will use other methods, including copy trading. I don't know how effective copy trading is for beginners because I never suggested it to my friends who just joined crypto.

They should at least learn basic trading to understand how to trade it. Copy trading may be effective for them in getting profits but it depends on the trader they are copying trades from. You can also try it to see how well it works for you to know if copy trading suits beginners.

Doing copy trading without equipping yourself with knowledge about trading, or at least knowledge about using copy trading, will not provide benefits. They can choose the wrong trader because they don't find out the trader's background and are only amazed by their stories that say they have succeeded in getting big profits or see the percentage of their trades. Be careful in choosing the traders.

Asking a question, and at the same time, promoting a scam exchange like Bitget. Good Luck with that.

Just to answer your question, it isn't effective especially if you have a small amount of money to be used for copy trading. I've seen some beginners in trading who prefer using the copy trading feature, and in the end they lose money. Well, I'm not saying that all of copy traders are losing money. It's just that, it's for lazy people, and even those experts who these lazy copy traders are copying don't always get profit. Copy trading gained popularity because it's like, you deposit a huge amount, select an expert trader, and copy all of his trades. Doings of a lazy trader.

I remember that this Bitget exchange has been promoted in Youtube by various Crypto influencers already. Well, they don't care if the one that they're promoting ended up as a scam because they only care for the money. As for the OP, you have negative trust already, so I would suggest to stop promoting that scam exchange.

It is okay to get ideas about trading by following others but it is better not to direct a new member's trading activities according to someone else's trading. Because trading usually depends on one's own skills, how someone else is trading successfully may not be successful, so everyone should have their own trading skills. Those who are new to trading can try to learn about trading and build their own trading skills by learning from how others handled their trading to better understand. In trading you should never depend on others and always depend on yourself.

As the newcomers wanted to take shortcuts by just copy trading, it is still risky for them not knowing the moves of the pro trader that they have followed.

I’ve been there before using a couple of copy trading platforms like BitYard and Prime XBT, but I only get much lesser profits than expected.

Copy trading is the “kinda less riskier” version of futures trading where you cannot control the price movement. Instead of you declaring it long or short, it is the pro trader that you have copied.

Honestly, I think the safest for newbies is either to DCA with BTC and/or ETH, or do spot trading where they can just simply buy low and sell high.

I see this as an effective way for beginners who want to learn from the trading experience of others who are more pro at trading. But don't expect too much with copytrade we can have profits easily. Because I personally see that this method is only suitable for those of us who learn to trade. We can imitate and learn the steps of pro traders. And then we can analyze again and make our own formula in trading. So in this case I think there is a positive side and a negative side that we should know. On the positive side, we can learn from observing other people's trades. and the negative side is that we shouldn't depend too much on this method so that we forget about independent learning to become independent traders.

That really matters in how you consider copy-trading on you. If you are doing this for just a while like just for less than a month, I didn't see any problem with it because that also gives you an idea. But if we become reliant on this, that was a problem because this won't lead us to success. Because as newbies, what we think is all about learning, not earning. And we gain ideas from our experience and being into copy-trading gives some light on what we gonna do next and to soon to become independent.

Was about to say the same thing, it's much better that you know the ways in trading and all the complexities that it offers because copy trading makes you reliant on how other people trade which isn't a fun thing because what would you do if suddenly you're experiencing losses, you don't know the answer to it because you don't have the knowledge even if you were to analyze what went wrong.

Regarding the viability? It depends on how you learn, if you learn by doing it yourself then copy trading isn't for you but otherwise go for it since you can see an expert trader in action do the magic, you're basically watching a tutorial on how to trade when you do copytrading, make sure that you're copy trading someone that's most likely to win their trades. And if you want to save time, copy trading might be good for you as you don't have to be active to make some profit.

Despite all that I've said above, you need to consider first that there's no guarantee of profit here, the trader that you follow is also a human and humans have a pretty good track record of making mistakes. And if you're aspiring to be a trader full-time, being too reliant on that might not help you develop your trading skills. To finally answer whether it's viable, I think it depends on who you're going to ask, there's a diverse experience from different people so their answer to that might be different.

Why I don't even know this name?
I didn't visit that but can you tell me in what year they implement that feature of copy trading?

AFAIK, eToro was the first trading platform that introduced this copy trading, correct me if I'm wrong.
This exchange eToro introduced the feature of copy trading in 2010 and in that year, they launched their CopyTrader platform.

To be honest, copy trading can be a helpful starting point for beginners to get acquainted with the markets and to gain knowledge on trading but it doesn't mean there's a guarantee of making a profit because even experts in trading may experience losses.

It can be interesting if the trader you copy has good results in the long run meaning he just hasn't got a recent lucky streak. But you have to be careful of the size of his bankroll. If his bankroll is bigger than your own you should adjust the amount of funds you are using in your trades proportionally, to avoid getting busted by the volatility despite his good long term results.

As a newcomer what you basically need is knowledge and more time to devote yourself properly in your trading journey otherwise following a copy trade may not be a solution to you and may not add value to your life as it may fails at any point because, whenever the bots fails and malfunction  you funds automatically disappear from your account that is why it is best advisable to have some basic skills about trading and Technical analysis before engaging yourself with bot or copy trade.

There are a few things to human nature onesjojkd take cognisance of. One of those is that, it is easier to learn when you just joined up because your mind is open to accepting new knowledge than when you've been around for sometime. This is because, you've got to unlearn what you've learnt and this involves, unlearning a practice that might (and I repeat might because, it doesn't always favour everyone) have proved useful to you to learn something that requires you loosing good money for sometime before you get the hang of it.
It becomes a great discouragement to back away from the practice.

Also, with no prior knowledge to the trading environment, you might find yourself struggling on how to best use the signals or doing any positive evaluation of it when presented with it.

In many ways, copy tading could be bad and I don't advice beginner traders to walk that path but instead, practice trading and analysing on a demo.

I would say it’s effective for those who only trade for fun, but for those who aim to be good and effective traders in the long run, it’s certainly not viable and unreliable.

Trading is not a game of chance and luck, but a game of knowledge and skills. And the only way to improve and promote them is to learn and experience trading on your own. Of course, there will be expected losses at first but hey, it’s not going to happen forever if you keep learning from all your losses. So never do copy trading, as it will never hone you into the best trader that you can be.

The one who copies trades is the biggest fool and should leave the market. No matter how much you made doing it, you simply don't deserve to be part of this market.
One should learn what exactly the price is saying and then take a trade, in the end, it will be just another gamble, just a calculated one. If you copy trade, you rely on someone and might also be forced to pay money if the one providing chooses to. Do not do that. You need to just analyze the charts and you will be good within a month or so, just stay with Bitcoin chart.

 when you don't have any idea at all about trading and you enter an exchange like Bitget and copy a trade, and maybe you manage to secure like $5 or $10 in profit, and the next day you copy a trade and still lose the profit you made the other day. What do you call that? Trading is all about experience; even if you must copy trades, learn the basics of trading first. Trading requires one to develop some good skills (risk tolerance and asset management) before they can make a profit. So, I'd rather advise a beginner to learn the basics of trading first before copying trades.

Moreover, there are some dumb traders with a handful of cash who made some profit accidentally now showing in the leaderboard. They don't even know how they profited that much, and they don't even know what to do next. Imagine some beginner trader already following that trader because he is on the leaderboard.

Some pro traders may have a good amount to back up their position, which will help them not get liquidated. But when others copy them and their strategy, they might not have enough balance to cover the position. In this case, getting liquidated is very much possible.

I'm not a trader, but with the little knowledge I have about trading, I don't think, as a newbie, you should rush or think of trading the first time; instead, you should hodl bitcoin instead of using the money to trade. However, you need to calm down and understand the crypto space before you start talking about trading. copy trading will be worse for someone who wants to learn trading, especially a beginner. and those who you think are gaining profits from trading only show what they have gained and hide their losses. So you can see that if you learn the trading skills on your own, it will be more effective for you than copying them.

Being a novice it is a bad idea to start trading, and copy trading even worse.


This. In the end you will be paying someone to copy a strategy, which will probably not only be focused on Bitcoin but also on crypto, and which in many cases will lead you to ruin. With stock trading in some chaos copy trading can have a certain reliability, with people with public long term results, and yet you never know when the streak is going to break.

The best thing for a newbie to do is to learn about Bitcoin and start doing DCA. But of course, this is much more boring than trading (although a safer way to get rich).


This is an important point to keep in mind as well.

I have been seeing copy trading on many big exchanges, like Binance, Kucoin, Huobi and many mother exchanges. It is something that is no more new in crypto again.

About your question, I will advice beginners to learn trading. Because a leader trading (the person you are copying) is winning today, that does not means he will not have losses tomorrow.

Another thing is that the leverage you use and the leverage the lead trader use may be different. Your trade may have higher leverage and riskier. But you can easy know the leverage the lead trader is using.

Learn how to trade yourself is the best approach for trading.

Know that copy trading or not, trading your self or not, trading is very risky.

For beginners who are new to crypto trading, I don't think there's anything wrong with trying the copy trading service. Because by trying these services, at least there will be a few examples and descriptions from the experts that are followed, while trading in the crypto market. But even so, I suggest, don't use the copy trading service for too long. Because if you only continue to use these services to trade in crypto, the impact will not be good for progress in the deeper field of crypto trading. Because if you continue to rely on these services, you are afraid that you will get too carried away and forget the knowledge that must be learned in the world of crypto trading and only depend on these services.

Because basically, to enter or start into the realm of crypto trading. The first step that must be carried out is that you have to study the knowledge first, such as fundamental, sentimental and technical analysis and don't forget to know about risk factors too. Because in essence, if you want to get better at trading in crypto, you have to learn more first. In order to better understand and be able to become an independent trader.
So in conclusion, try copy trading services, it's fine, but don't take too long and don't forget to keep learning about the science that must be learned to trade in crypto.

Why even immediately trade when you're a newcomer? Stop trying to rush immediately to making money especially if you don't have a firm grasp of this industry in the first place.

Also, those traders in copytrading platforms mostly don't know what they're doing. Copying them just looks attractive because of their short-mid term gains. Wait till you see their long-term performance(most likely red, or subpar gains compared to just holding BTC).